Govt to Review Feed-in Tariff for Renewable Energy
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Kamis, 1 Januari 1970 07:00 WIB
TEMPO.CO, Jakarta - Energy and Mineral Resources Minister Ignasius Jonan said that the Ministry will review the feed-in tariff scheme for the renewable energy sector and the geothermal energy sector.
‘Feed-in tariff’ is a payment mechanism in the renewable energy based on the cost of generation of the technology. The renegotiation is done to create a more efficient electricity cost.
Jonan hopes that the discussion for feed-in tariff can be held soon as he is setting up a team to discuss the matter. “As soon as possible, [in] January if the team is ready,” he said on Wednesday, December 21, 2016.
According to him, it is necessary to be done so that the renewable energy can compete with traditional fossil fuels. Jonan said a country that has adopted it is United Arab Emirate.
They can build a solar power plant that can produce 150-megawatt with a pretty low tariff of 2.99 cents per kWh. Moreover, the country is currently developing a solar power plant that can produce 200-megawatt with the even lower tariff of around 2.42 cents per kWh.
Jonan said that renewable energy sources must be able to compete with fossil energy. This must be implemented if Indonesia wants to have a good energy mix.
DIKO OKTARA
